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Holly Energy Partners is committed to safe, reliable operations of its logistics assets, increasing distributable cash flow per unit, and growing our business. Operating a system of refined product pipelines and refined product terminals primarily in West Texas, New Mexico, Utah, Washington, and Arizona, we'll work to achieve that end through the following strategies: Generate stable cash flows through revenue from transporting products through our pipelines, terminalling refined products and other hydrocarbons, and providing storage as well as other services at our terminals. Since we do not take ownership of products that we transport or terminal, we're not directly exposed to changes in commodity prices. Our 15-year pipelines and terminals agreement with Holly Corporation and Alon USA guarantees revenue, and the fee-based nature of our business and long-term nature of our contracts is expected to yield stable cash flows. Increase our pipeline and terminal throughput without significant capital expenditures. We have the capacity for increased pipeline and terminal usage, an expected result of the recent expansion of Holly Corporation's Navajo Refinery and growing demand for light refined products in our markets. Strategically positioned within Holly Corporation's supply chain, we expect all barrels going to distant markets to be transported on our pipelines due to this expansion. Anticipating future increased demand, the infrastructure needed for further expansion is already in place. Undertake economic construction and expansion opportunities as we continually evaluate ways to increase our asset base. Since 1996, we have built or leased approximately 500 miles of additional pipeline and have constructed or expanded terminals providing increased storage capacity. We will consider extending our existing refined product pipelines or constructing new pipelines and terminals to meet rising demand in high-growth areas of the southwestern U.S., the U.S. Rocky Mountain region, and northern Mexico. Pursue strategic and accretive acquisitions that complement our existing asset base, independently and with Holly Corporation. Future acquisition targets may include assets to be directly integrated into our existing refined product distribution chain--such as pipelines, terminals, and qualified processing assets--or acquisitions of related businesses. We currently also have an option to buy two intermediate pipelines from Holly Corporation and may acquire other pipeline or terminal assets associated with Holly Corporation's refineries in the future. View our map of operations. Page Last Updated on : 7/12/2005 |
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Did You Know? The growth and competition of pipeline companies surged in the 1870's. Union Pipeline Co., Empire Pipeline, Mutual and the United Pipelines were a few of the big names. The first Standard Oil pipeline began taking hold in the oil region as the American Transfer Company. More... |
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